Meet Tunde, a sales executive in a retail company who has an average monthly salary of #150,000 (including commissions). He is single and loves the soft life (my guy na baller) He is also the ‘favorite uncle’ of his younger relatives and supports his siblings too. Things are seemingly good for him except, he almost always turns up broke before the end of the month.

There’s always that one friend we feel shouldn’t be complaining about being broke seeing the modest salary they earn. In any case, there are many factors that could be responsible for going broke with some being beyond our control (cries in the price of food items). However, there are personal habits we can imbibe to keep SAPA away regardless of our monthly salary.

Let’s look at some tips you can use to avoid SAPA as a 9 to 5 employee.

Live within your means
I know you have colleagues and friends who are living the life, or so it seems. But you don’t have to live your life on their terms. Many people spend money to impress people around them or keep up with the Joneses. Others just spend because they believe they can afford it and the money will keep coming.

For example, it’s not the smartest of financial decisions to rent an apartment that takes more than 2 months’ salary combined. It’s also not wise to spend excessively on hangouts, parties, booze, and expensive restaurants when your salary clearly doesn’t match that lifestyle. Live frugally, treat yourself nicely once in a while but above all, live within your means.

Have a budget
Creating a budget and financial plan is a masterstroke for avoiding SAPA. You can easily plan how to use your income efficiently. You can go the extra mile to track your daily expenses and use the data to inform how to plan future budgets or cut spending.

You don’t need to be a trained financial expert to have a budget plan and financial goals. There are many free online tools and templates to help you do this. MS Excel has a ready template you can adapt for personal use. Enjoy free access to personal finance management (PFM) features such as budgeting, real-time spending analytics, auto savings, and an account aggregation tool on Mkobobank.

Settle important bills first
After planning your budget, you will notice some non-negotiable bills. This includes things like food, loan repayments, utility bills, etc. Ensure you handle these once you receive your salary. Buying food in bulk, for example, can save costs while prompt loan repayments can save you from paying more interest. Settling essential bills is also great psychologically because you will be relieved of the financial stress which affects you at work.

Save for rainy days
“Pay yourself first” is one unforgettable lesson from the book “The Richest man in Babylon” by George Clason. This means for every income you receive, you put aside savings first before you spend. Admittedly, this can be difficult to implement but when done can be a superpower to avoid SAPA as a 9 to 5 employee. This is because you can save up an emergency fund when life issues hit, and be able to get back on your feet fast.

Diversify your income streams
Living on one income stream is an extreme sport in Nigeria today. There are business ideas you can combine with your current day job or have your spouse/relative manage on your behalf. Yes, having a manager is often risky but so is living solely on one income stream. Anything can happen at the workplace. Many companies are still reeling from the impact of lockdowns and whole industries and being upended by technology, so job security is not at its highest right now.

If a business or side hustle is too much to handle, you can also put your money to work by investing in stocks, real estate, and other portfolios. Ensure you have adequate knowledge of what you’re doing or you engage a financial advisor to help you.

Apply for a raise
There’s nothing wrong with getting a little extra income for your services. You know you’ve been improving your skills, you’ve probably done some personal development, or have been exceeding expectations at your workplace. If you’ve spent some time on the job and can demonstrate your value, why not apply for a raise?

Bonus tip: Invest wisely, and be careful with high-risk, shady investments
In summary, avoid Ponzi schemes and other unrealistic investments. If an investment promises to double your money within a short time, there’s a high chance it won’t stand the test of time. So many people have lost huge amounts of money to Ponzi schemes, MLMs, and other investments because they wanted unrealistic yields in a short time. Oftentimes, it takes months or even years to recover when these schemes crash.

Do you have other tips on how to avoid SAPA as a 9 to 5 employee?

Please share in the comment section below.

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